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R'gi
UNITED STATES

ENVIRONMENTAL PROTECTION AGENCY

REGION S

Docket NO.CM-Oa-2011-0021

ADMlNlSTRAT1VE COMPL !NT

AND CON ENT AGREEMENT

In lhe Matter ot:

ENERPLUS RESOURCES (USA)

CORPORATION

)

)

)

)

2011 ~UG 29 AM 8: 23

,I l

I l!~10H v:-;t

"f

Respondent.

AUTHORITY

The. Uuited Stales Environmental Protection Agency. Region 8 (EPA or Complainant) IS issuing

thi Administrative Complaint nnd Consent Agreement (Agreement) 10 Enerplu5 Resources (USA)

Corporation (Respondent) pursuant to Sections 113(a)(3) and 113(d}( I) ofthe Clean Air Act (CAA or

the Aetl, 42 U.S.C. § 7413(a)(3) and § 7413(d}( 1). The Adminislral r ofthe EPA hnsthe authority to

enter into this Agreement and that authority has been properly delegated to the undersigned EPA

olliciul.

A. STATUTORY AND REGULATORY BA KGRO ND

On June 19. 1Q78. EPA promulgutc..-d Lhe Prevention ofSignificunt Dcteriomtion (PSO) regulations

pursuant to Subtitle I. Pnn C of the Act ·D Fed. Reg, 26403. EPA revised the PSD regulations on

several occasions IIlciuding Au~usl 7, 19S0 (45 Fed. Reg, 52676) and December 31, 2002 (67 Fed. Reg.

SOIS6). These regulations are codified al 40 C.F.R, Pan 52.

2. Terms used in thiS Agreement that are defined in the Act or in regulations promulgated pursuant 10 the

ACI shall have the meanings assigned to them therein. unless otherwise prOVided In tlus Agreement.

3. The emission sources to which this Agreement relates are in "'ndian country" us detilled 111 18 U.S.C.

§t 151, The locations orthe emission sources are identified in Appendix A.

4. Sochon 165(a) oflhe Ael42 U.S.c. § 7475(a}, and Ihe P D regula"ons implem<"Illtng Part C a,40

C.F.R. § 52.21 (a){2){iii). prohibit a major stationary source from commencing construction or major

modification of a major stationary source without a pcnnit which states that the major stationary source

Or modilication would m<'''C1 the requirements of40 C.F,R. § 52.21(j) through (r).

5. 40 C.F.R. § 52,21 (b)(5) dcflm..-s tl "stationary sourcc" as. any building. structure. facility Or installation

which emits or may emit a regulated PSD pollutant.

6. 40 C.F.R. § 52.21 (b){ J)(i){b) defines 3 "majorstationary source" as, among other things. any st3tionary

urce thm emits. or has the potential to emit, 250 tons per year or more of any regulnled PSD pollutant.

7. On July I. 2011, EPA promulgated final rult:S titled "Review of New Sources and Moditicntions in

Indian Countl')l," (Tribal Minor NSR Rule) 76 Fed. Reg. 'S74 -80S (July 1,201 I) (to be eedlfied a'40
C.F.R. 1'.11,49 .nd 51). The final rules arc effective on August 30, 2011. 76 Fed. Reg. at 38748. Once

effective. the rules allow, among other things, tor a synthetic minor source pcnnit to be issued 10 on

otherwise mojor source Ihm has taken a restriction, enforceable tlS 0 legal and pracllcal maUer, so Lhat

the source's potential 10 emit is less than lhe amounts for mojor sources.

R. This proceeding is govemed by the Consolitlntcd Rules of Practice Goveming the Administrative

Assl.,'ssment ofCivil Penalties. and the Revocation. Temlinarion or Suspension of Pcnnits (Consolidated

Rules) sel forth at 40 C.F.R. Pan 22. The U.S. Depanment ofJustice has concurred with EPA Region

8's request for aUlhorizntion to commence an administrative enforcement action in this matter.

9. This Agreement is voluntarily entered into by the EPA and Ihe Respondent for the purpose of

simultnnoously commencing and concluding this mauer, as nuthorized by 40 C.F.R. § 22.1 J(b), and

executed pursuant to 40 C.F.R. § 22. 18(b)(2) and (3) ofthe Consolidated Rules.

B. l'iTRODUCTORY PROVISION

I. TIlis Agreement addresses II unique situation in thai the Respondent is unable to obtain an efTectivc

syntht.:tic minor source pennit from EPA prior to commencing construction because. pursunm 10 fhe new

Tribal Minor NSR Rule, the authority to issue such pennits begins August 30, 2011.

2. This Agrecmenlls entered mto by EPA and Respondent to settle alleged \'1oLations and allow

Respondents 10 comply us expeditiously as possible with the requirements ofthe eM. s~lficaJJy

PSD, ofcenain Bakken Fom13tion Oil and Gas Emission Sources (emission sources) owned and/or

operated by Respondent. loealed within the exterior bOlultlarics or the Fort BcrtllOld Indian Reserv:uion

in North Dakola as described in Appendix A.

3. Respondenl admits the jurisdictional allegations in tllis Agreement bUI does nol admit the specitic

factual allegations or legal conclusions made by the Complainant herein.

4. Respondent waives il~ rights to n hearing before any lribunal and io contest nny issue oflaw or fael set

forth in Ihis Agreemenl.

5. Complainanl asserts that senlement ofthis Inalter is in Ihe public iOlerest. Complninam and Respondent

agree that resolving this mailer without furthl;.-rlitJgation and without adjudicallon of any issue offact or

law is appropriate.

6. This Agreement. which includes Appendices A and B. upon incorporarion into a Final Order. applies to

and is binding upon EPA and upon Respondent. and Respondt."I1r"s office~, directors. employees. ogl.'us.

succcsso~ and assigns.

7. This Agreement contains all terms of the settlement agreed to by the EPA and Respondent.

,
c. ALLEGED VIOLATIONS

1. Respondent is 8 DelttwQJ'c oorpor!ltion nnd therefore 3 "person" 8S defim-'d.. in sl."Ction 302(e) of the eAA.

42 U.S.C. § 7602(e).

2. Respondent owns andlor opcrules the emission sources described in Appendix A.

3. Complainant alleges thnt Rl:spondent violated the eAA by constructing each ofthe major statlunary

sources identified in Appendix A. Table A·I without firsl obmining a PSD penuit pursuanllo 40 C.F.R.

§ 52.21.

D. REQUIREMENTS UNDER nils AGREEMENT

The EPA and Rcspondcnl. by their undersigned represcntmivcs, hl.TCby conserll and agree Il5

follows:

1. Penniuing

a. Within onc year ofthe effective date of this Agreement, for all Existing Emission Sources listed

tn Appendix . Table A-I, Respondent shall submit to EPA a complete synthetic minor source

pennil application under EPA's Tribal Minor NSR Rule. If Respondent determines that an

emission source was inc rrcctly included in Appendi-< A. Table A-I. iI may notify EPA oflluu

fact by October 14.20 II. In this circumstance. Paragraph F.13 below shillI apply.

b. By October I, 20 II. Respondent shall submit to EPA a c4,lmplete synth~UC minor source pennit

application for New Emission Sources listed in Appendix A. Table A-2 that will commence

constn.lction during the period st3rting August 31, 20 II, and ending December 31, 20 II.

c. By November 1.1011, Respondent shall submit 10 EPA a complete synthetic minor source

pennit applil.:8tion for New Emission Sources listed in Appendix A, Table A-3 that will

commence construction during the period starting January 1,2012. and ending March 31, 2012.

d. By January I, 1012. Respondent shall submit to Ell n complete synthetic minor source pennit

application for New Emission Sourl.:cs listed in Appendix. A. Table A-4 Ihm will commence

construction during the period slOrting April 1.2012. and ending Junt 30. 2012.

e. Any emission sources for which construction will commence after June 30, 2012. are not subject

10 (his Agreement and Respondent must obtain an effective synthetic mlllorsource penmt from

EPA or comply with the provisions of 40 C.F.R. § 2,21 prior to commencing construction.

r. rnclusion of an cmission source listed III Appendix A. Table A-2. A-3 or A-4 does not preclude

Respondent fTom commencing construction of thnt emission source after the date specified in the

rclcvalll Paragraph D, l.b.c. and d above However, ull such emission sources must commcltcc

construction prior to June 30.1012.

g.. Irthose emission sourc~ Iisti.:d in Appt:ndi:<. A. Tahles A-2, A-3. nncVor A-4 do not commence

construction by June 30. 2012. then they are therefore not ubject to Section D ofthis

Agrecm~nl.

3
2. Control Requirements

tl, For nIl Existing Emission Sources listed in Appendix A, Tllble A-I, the Respondent shall comply

with the requirements ofAppendix Bby no later than December 1. 20 II.

b. For alI New Emission Sources listed in Appendix A. Tables A-2, A-3. and A-4 the Respondent

sholl comply with lhe requirements ofAppendix B upon start·up of produclion, Emission

sourct:S thUl receive an effective synthetic minor source pennit before commencing construction

arc not subject to the requirements ofthis Agreement.

3. Notification

Respondent shall notify the EPA on the last business day of each month of all of the emission

sources subject to this Agreement that commence conslruction in the previous month, Respondent shall

:llso notify the EPA whether those emission sources arc meeting the control requirements as required by

Appendix BtlDd wheth~r they have received an effective synthetic minor source penni!. 11us notice

shall also include II list ofcmis ions sources tllm are removing n 9 % control device and using a 90%

conlTol device 8S outJmcd in Appendix B.

Unless otherwise specified herein, whenever Respondenl's nOlification, submissions, or

communication nre required by this Agrc(,:ment~ Ihey shall be made electronically or mailed to the

following:

Cynthia J. Reynolds. Director

U.S. EPA Region 8 (8ENF-AT)

Air & Toxics Technical Enforcement Program

1595 Wynkuop l.

Denver, CO 80208-1129

rcynolds.cvnthiamepa_go\'

E. CIVLL PENALTV

I. Pursuant to an analysis of the facts and cirCUlUSlntlCCS oftlll.S case with tl,e statutory factors described in

section 113(d)( 1)(8) of the AA.43 U.S.c. §7413(d)( I)(B). EPA hos delennined 'hot on appropriate

civil penalty to settle this uction is the amount of53.ooo per emission source listed in Appendix A for n

100al of$1 74,000.

1. Respondenl consents to the issuance ora Finnl Order and consents for the purpose ofsettlement 10 the

pUYUlent of Ihe civil penalty in the manncr described below in this paragraph:

u. Payment is due within 90 caJendElr dnys from lhe date ofthe Finnl Order. tn be issued by lhe

EPA's Regjonal Judicial Officer, thm adopts thiS AdmimstrMi"c Complaint and Consent

grecll1enl. lfthe due dote falls on n weekend or legal federal holiday. Ihen the due dlltc

becomes the next business duy. TI,e dnte the payment is mnde is considered to be the date

4
processed by the Bank described below. Payments received by 11:00 AM are processed on the

ne:<t busin<.-ss duy.

b. The payment shall be made by rcmilling ncnshier's or cenific:d check, including the name nod

docket number of thi:o. case. for the culculQlet.l amount. payuble to ''Treasurer, United States of

America," to:

CHECK PAYMENT:

US Environmentul Protection Agency

Fines and Pennlties

Cincinnati FinWlce Center

PO Box 979077

SI. Louis. MO 63197·9000

OVER IGHT MAIL:

U.S. Bank

1005 Convention PIau

Mail Stot;on SL·MO·C2GL

SI. Louis, M06JI01

Contact: Natalie Pearson

314-418·4087

WIRE TRANSFER:

Wire Transfers should be directed to lhe Federal R.~erve Bonk ofNew York

Federal Reserve Bank of New York

ABA: 021030004

Account 68010727

WIFT address FRNYUS33

33 Liberty Street

New York, NY 10045

Field Tag 4200 ofthe Fedwirc message should read AD 6801727 Environmental Proteclion

Agency

ACI ( (also known as REX or remittance express);

Automated Clearinghouse (ACH) for receiving US currency

PNC [lank

80 nil! Street, NW

Washington. DC 20074

COnlnet B Jessc White 301·887-6548

ABA =051 036706. Transaction Code 22· checking

Environmental Protection Agency. Account 31 0006, CTX Fonnat

ON·LINE PAYMENT:

There is now an On Line Payment Option. fiY<lilable through the Dept. ofTreasury. This payment

5
option can be accessed from the information bdow:

www.oay.gov

Ent\..1' sfo 1.1 in lhe sCJrch field. Open foml and complete required fields.

A copy ofthe check. or wire transfer, shall be: sent simultaneously to:

Alexis North (8ENF-AT)

.S. EPA Region 8

Technical Enforcement Program

1595 Wynkoop SI.

Denver. CO 80202-1129

and Tina Artcmis

Regional Hearing Clerk (8RC)

U.S. EPA Region 8

1595 Wynkoop SI.

Denver. CO 80202-1129

c. Payment ofthe pennlly in lhi manner docs not relieve Respondent ofilS obligati n to cumply

with Ihe requirements of the CAA and its regulations.

F. GENERAL PROVISIONS

I. The emissions controls required in Appendix B under this Agreement shall be considered "federally

enforceable" ~md. as applicable. "legally nod practicably enforcelJblc" for purposes of calculating the

potential 10 emIt tor the CITIlssioll sources covered under this Agrecmcilt.

2. Fllilure by Re~pondt:llt to timely apply for, and uluml1tcly obtain~ the synthetic minor pennit for any

emlSsion source identified m this Agreement or to c mply with the requiremenLc; ofSection 0 and

Appendix B shall render any release Or satisfnction of liability aflorded under thi Agreement null and

void as to that s urce.

3. Nothing in rhi Agreement shall be construed as a waiver by the EPA or any other federal entity ofits

authority to seek costs or any ttppropnate penalty assodated with any colleclion action instituted l1S a

result of Respondent's fnilure to pcrfonn pursuant to lhe ienns ofthis Agreement.

4. Once the RC~1>Ondcnt has received a synthclic minor source pennit from EPA for the emission source

identified in Appendix A, and lhat penuit has become effective. the tenus oflhat permit supersede this

Agreement.

5, For all Existing Emission Sources listed U1 Appendix A, Table A-I, Rt.-spondcnl's submission of::l

omplete synthetic minor source permit npplicalion will consti!me compliance with the relevant eAA

provisions during the period ofthis Agrl:Cmel1t.

6. for all New Emission Sources listed in Appendi:< A. Tables A-2, A-3, and A-4, complJance with the

relevant CAA provisions r'-'quires that Respondent; ll)obtains an elTective synthetic minor source pcmlit;

b) is subject to an EPA approved Federallmplemcntntion Plan which allows for D pennit by rule; or c)

6
complit:S with Q new EPA appJieublc eM regulation thai removes them from PSD applieabilily

7. Notwithstanding lhe tcnns of this Agreement, the Respondent must meet any other 3pplicablc

requirements ol'the Act or its implementing regulations.

8. Respondenl agrees that for any emission source operated witholll the controls l1."quired by this

Agreement. except for instances ofm3Ifum:tian, Respondent is in violation ofthis Agreement.

Malfunction shall be defined ns any sudden, infrequent, and not reasonably preventable failure of air

pollution control equipment process equipment1 or a process to operate in a nannal or usual manner.

caused by circumstances enllrcly beyond the control of me owner or operator. bUI shall not include

failures that are cnused in whole or in pan by poor maintenance or careless operation.

9. Respondent agrees that any emission source whose actual emi sians have exc(.''(,:ded 250 tons per year is

nOI covered by this Agreement, including IIny emission source listed by the Respondent in Appendix A.

10. Each undersigned representative of the EllA and Respondents (Parucs) to Ihis Agreement certifies that

he or she is fully authorized by the Pany represented to bind the Party to the tenns and conditions ofthis

Agreement and to execute and legally bind that Party to this Agreement.

11. The Parties agree to submit this Agreement to the Regional Judicial Officer. with (I request thai It be

incorporated into n Final Order.

12. The terms, conditions. and compliance: requirements of this Agreement may not be modified or amended

excepl upon the wnuen agrei,.'ment of both porties. Ilnd approval ofa Regional Judicial Officer.

13. If the Respondent. pursuant to Para,b'l1lph D.l.a, above, wishes to amend the list of emission sources in

Appendix A. Table A-I, it shall submit those suggested chllnges 10 EPA for approval. If EPA agrees

with the suggested changes, the Parties will submil an amended Agret."T1lcnt t the RegIOnal Judicial

Officer for incorporation into a revised Final Order.

14. The effective date ofthis Agreement is the date that the Final Order is signed by the Regional Judicial

Officer.

15. This Agreement, upon incarpomtion into n Final Ordl.... by the RegIOnal Judicial Officer and full

satisfaction by thl; Parties. shaJl be:1 complete. full and Iinal settlement ofthe violations alleged in this

Agreement.
16. Ea h P, rty hall b r it wn 15 an attorn y ti in nne tion with all i u

'r m 1.

i ted ilh thi

U ITED TAT

PROT 1 10

mplainant.

VIR ME T L

C' R GIG

n rplus Re ur' (

Resp ndent.

un: U A) 'orp rab n

D t: '2.S
APPENDIXA

EMISSION SOURCE INVENTORY

hblt .....l hkl Emlulon SOU«.. t(I~C_lruroon "" Je lGU

s,,~ C415In1MH co. Cflkl&hud G. '.n""'I'Ii. e.uery

'.II'/Tri lI.Iue,.,

so..raokamll U'ltJtude _..... ""

.. fo_lohip - """",,," ' ........M Control Ot!we Control Devb. Conl101 Dewlc.e

.... c..PII..d InA/lblllMl Dolle

""'~ ·47.6]1tll ·102.606726 " ,.... ..W 1011'J/1OO9 V6 G.ound PI! n.re G..-dPitfllte 10l19f,lOO9

IInne G Ba~"t(El~ 11<al1 "'58769267 .102.58111.506 • ION 'lW 9/lO/2Q10 V6 Ground Pit Flirt GtOUfI(I Pit F~ 9/3Qf'1010

A(llirey "'Obltllead HJI'/Rt'd Tipped Nrow "1.nC6l1SC IOl.726!l86B1

" ,"'" ..W 'f22IZOIO VK Ground Pit Ft...." liIllund I'll F~re 1/22/1fJl0

h1t.r/1luer/BIl1ll'I ''1031lO6O 102..82018 '" .... 92W 3/29/2010 V6 G.ound Pit f1«e Ground P,t F1¥1' ]/29/2010

"'" "'U2C19 10l.65l9b 16 ..BI< ..w "/U(>OOO v" Grvurw;i Pit I1In Grooond I'll AMe tUt3/'2008

O;l,,,u. .789205937 -11».13OS]115 " ".. ..W 5/1.{2011 VK Ground Pit Fbrt: ~Plln.n. 5/I"/20t 1

bCtl!lNI'SI "........ 102.63526298 " ..BI< ..W tj12{2111t VK Grouui I'll Fbte Grourod PtI flIte l/lll2Ot 1

FOIlI k;an 47_976598 -I026lO2Sl '" ''''' "w 10I>l/.... V6 GrOUlld Pil F~. Gl"lluOd p,t

,""""""

r.ederttllS5 'I7.li73~ ·102.A379.3 , "BI< ,,.. A/27/2008 V.. Grlltlllll I'll Fbrt GfQUnd PIt rlil'i! 1/l1t»Ji

frellerwu ..11i1305A ·102.""B106 • 148N ,,.. l/2/2fX19 V" GrOUnd I'll Fb,,, Ground I'll Aue

Hl!rIf\I "'" Glln 168/MWCVIV/'5.lr\ln!\IenUli _7.SS!lt1192 102.5ot07~ 16 141N "W 1(112010 V6 Grllulld I'll Fbte G,Ooolnd Pit Fb.e 1{1(20IO"""""

Henry 8;Mt Glln SO/17AJ[O$19I'ffl'odct .17..55!M9Sl6 ·10l...55051091 , '"'' 'lW '1121/2010 V.. GtTllirld P,I A_ Ground Pit Fble "/21/2010

J M tQIIJ~ler .16J120~ loz.58.l25271 " ..BI< "W 112/2010 Vft GftlUtId P,t FliIe Gf'OUtld I'll F.....e 1/212010

t.ewllll\ blille/M¥S ot1.1]2682'1 -IOUll221ln , '_9~ "W V10/2010 NCII '" GrQUnd Pit flare GtOUtId I'll flarl! lItO/lOlO

,.......'"

1.ocJl;0IlI R1d8~ .'.67157866 -102.5]209266 • ..BI< 'lW 1/12/2011 ,.. GrOlllWl 1',1 f~re Ground I'll FI¥t! 1/11/1011

MJlnlSht.....ood ot7..86:4Ji8Ci 102.107i92

" 151N ..w 8/2.5/2011 ,.. Gfllurtd I'll FIM• Gfound I'll flll.e 1/25/2011

Plllto/Sow~fd .1.7.,52820 10261131101 S .... 93w 3/23/2010 Vft Ground p,t H~fe GrooJOiI Pit fbll! 3123/2010

RoIMru TrWI ot763'7<1nl -tOl.G012S479 U ,.... ..w 3/1{2011 V.. Grourod 1'., FIIre Glound I'll fwe 311{2011

T~wltli/l _1.1]2.)"" -102.5903!1 • ,... "w '/lIlf»8 'ft Ground Pit rw" Gro<.nd I'll Fill,,, """"" VO'lt 2__ U 06lO9Q) 100060nn.

" ..BI< ..... 7/16./2fX18 V.. GIlIt>Ild P,t fIlIore G-..d I'll fI/Ir" 1/l1i/2Oll8

YO'I! 2_ 11 n 63100289 -10259952170 ,. "IN ..W

""""" '6 Gfound 1''' !bfe GnNrteIl'ol~

YO/ill/Ziollf; U sa811CM09 101.SS719,n

"""""

" ,.... 'lW """"" '6 Glound I'll ft;are Gro..Id "It flare '!l/lW3

WOflWlrl ,,"eel.. .'.61200t6 -102542736 • ,- "W l/tot!2009 'ft Ground I'll Fbre G'OIIlId I'll rIMe J/1./2OOi

,
Table A~2 New Emission Sources (commencing construction between AU8uSt 31, 2011 and December 31, 20ll)

Pad Name section Township Ranae

Expected Commence

Construction Date

Agave/Birdbear 6 149N 93W september 2011

Anvll/Forge/Habanero/Jalapeno 11 148N 94W December 2011

Axe/Cayenne/Poblano/Vlse 11 148N 94W December 2011

Buffalo Run/Gray Wolf 5 148N 94W December 2011

Cedar/PIne 12 148N 94W November 2011

FOll Rldge/Morrtson/Red Rocks 10 149N 93W October 2011

Hawall/Maul 23 148N 94W September 20ll

Hila/Kana 23 148N 94W September 2011

Oak/Spruce 12 .148N 94W November 2011

Sltka!Vellowblrd 6 .149N 93W November 2011

10
T~ble A-3 New Emission Sources (commencing conuructlon between January I, 2012 and March 31, 2012)

Pad Name Section Township Range ElCpeeted Commence

Construction Date

Arnica/Chokecherry 20 149N 93W March 2012

Beans/Carp/Corn/Pike 14 148N 93W March 2012

Bugle/Trumpet 13 148N 94W March 2012

Cheelah/Hyena 30 149N 93W March 2012

CuNe/Knuckle/Deuce/Net 19 149N 92W March 2012

Fastball/Slider/Ace/Court 19 149N 92W March 2012

Glraffe/Grouper/lmpala/Walleve 3 148N 94W March 2012

Hlppo/Jackal{Uon/Rhlno 3 148N 94W March 2012

11
Table A·4 New Emission Sources (commencing construction between April 1, 2012 and June 30, 2012)

Pad Name Section Township Range Expected Commence

Construction Date

Acadia/Glacier/likes Eagle 2 148N 9SW June 2012

Airlearban/Earth/Sky 21 ISIN 94W May 2012

Arabian/Morgan 29 149N 93W June 2012

Badger/Mink 33 ISIN 94W June 2012

Bass/Trout 25 149N 94W May 2012

Beluga/Humpback 6 148N 93W May 2012

Blue/Bowhead 6 149N 93W May 2012

BMX/Earth lodge/Tandem/Tipi 23 148N 93W May 2012

Bobbln{Thread 3 149N 93W May 2012

Chord/Music 18 148N 93W May 2012 - ClrrusINlmbus 33 149N 94W May 2012

Cumulus/Stratus 33 149N 94W May 2012

Duet/Harmony 18 148N 93W May 2012

Huffy/Log House/Round House/Schwinn 23 148N 93W May 2012 - Mustang/Pinto 29 149N 93W May 2012

Needle/ThImble 5 149N 93W May 2012

Scissors/Serger 4 149N 93W May 2012

12
APPE DIX B

EMISSION CONTROL REQUIREMENTS

A. Applicability

These rcqujrc:mcnts apply to existing and new emission sources associAted with oil production from

the Bakken Formalion on the Fort Berthold Indian Reservation in North Dakota and turgl:t the control

of casinghead gas emissions (also known 3S lreater gas) and emissions from oil Dnd produced waler

sloroge tanks (tanks).

B. Control Requirements

All casinghead gas and tank emissions must be controlled or captured upon start of production. Ir

gas gathering infrastructure is in place. casinghead gas shall be routed to II gas gathcnng pipeline us

SOOn as practicable. When a pipeline is DOt llvailllble, casinghead gas is required lo be roUted to a

control system or device in the Conlrol YSlcm List below. The Control SYMcm List ulso applies to

emissions from oil and produced waterstorage tanks. Capture or control dt:vices shall be operated at

all times when emissions muy be vcnu:d 10 them.

The owncr/opemtorshall maintain and operate all air pollution control equipment. and all equipment

employed to contain and collect vapors and transport them to the emission control system or device,

in nccordrmcc with the manufacturer's rt:commendations nnd in n munner consistent with good air

pollullon control practice for minimizing emissions.

Control System List

I. A ground pit nare lincluding. but not limited to pit nares, shop built (lares or other similar

oilfield Iype Dares) or other 90% or g.reater ORE de"ict:. If B ground pit (lare is utiliud, a

90% ORE. to be assumed. This is considered the minimum level ofcontrol for tank and

trenter gas emissions 3ta1l times.

2, A vnpor recovery unit Or oil stabili1er that is designed and operated to reduce the mass

content ofVoe and towl hazardous air pollutant (HAP) emissions in tbe vapors vented to the

device by at least 95o,~ by weight

3. An endost.-d combustion device appropriately sized for the site's operating parameters and

for which [be manufacturer represents will nchlc'rc l) dcstruclion cOicicncy of lit lenst 95% of

the VOCs with respect 10 the volumetric flow and 6111 content afthe site's waste gas

strcom. An enclosed combustion dt:vice is operated including, but not limited [0 the

following:

• This device should be opt:nned with no visible emissiOns except for periods nOt to

cxcc:ed n Iotnl of 5 minutes during nn} 2 consecutive hours; MC:lhod 22 of40 CFR

Appendix A shall be used to dctennine the compliance wilh this visible emission

provision.

13
• Owner/opemtor shall insHlJl an <lpproprintc, relillblc (cmpernturc scnsor/trnnsmincr

that indicates continuous ignition afthe pilol name on the control device. The

~ensor/lrunsmillcr will bt: conntClt..'d to the site's upervisory Control and Daro

Acquisition (SCADA) System. The SCADA system will record temperature readings

at a specified frequency and will be progrummed to trigger an alllrm iftemperntures

outside ofa pre-programmed runge arc dClcc1l.'d. For the purpose ofthis paragraph,

"continuous" monitoring eqllipm~l1t shall measure and record values alleast once

every hour.

A utility nare (using an open Bame without encloSW'C) that is designed Dnd operated to

reduce lhe mass conlenl of VOC lind tOluil-iAP emissions in the vapors vcnted to the device

byal ICllst 98~o by weIght. A utility B.lre is any Bare that is designed and operated in

accordance with the requirements of 40 C.F.R § 60.18. Requirements of40 C.F.R § 60.18

include. but are not limited LO the following:

• Flare shall be dcsIg.ned und ope.rJted with no visible emissions except for periods not

to exceed alolnl of5 minutes during any 2 consecutive hour.>: Method 22 of 40 CFR

Appendix A hall be usetlto dctennine the compliance with Lhis visible emission

provisiun;

• Flare slmll be operated with a name present at all times;

• An owner/opemtor has Ihl.: choice of adhering 10 either the heat content specifications

in paragrnph 40 C.F.R.. § 60. t 8(c)(3)(ii) and the maximwn tip velocity specifications

in pamgroph c}(4) or adhering 10 Ihe requirements in 40 C.F.R.. § 60. 18{cX3}(i);

• Flares used to comply With this seclion shall be steam·assisled, air·nssisted or

llonassistcd;

• Owners/operators of flarcs sh311 monitor the control devices to ensure thut they are

operutcd ClOd mnintained in confollfmnce with their design:.:

• The presence ora narc pilol name shall be monitored using a thennocouple or any

other equivlllc:nt dc\ icc to dctt:C( the presence ofII flame. Continuous checks by an

operalor 10 verify the existence of a visible name or to verify proper operation ofthe

igniter mlly be llsed in lieu of u physical device. For the pw-pos<= ofthi! parngrnph,

"continuous" monilOring equipmcOi shall measure and record values:u least once

every hour.

• For safety and air pollution ..:omrol purposes: each Oare m~1 be equipped and

operated with an automatic ignilor or a c:onlinuous burning pUOl, \\ bicb must be

maintainc:d in good working order. This is required even if the flAre is used for

emergency purposcs only.

1. Conuol devices other lhan those listed above mllY be utili.l:ed upon approval from the EPA.

C. RtC'ordktr:plng RC'.clulrcmtnt

I. Qwner/opcmtor shull maintain cOnlrol device temperature logs for three years.

14
CERTIFICATE OF SERVICE

111C undersigned certifies thal the original Oflbc 3lt3ched AOMI ISTRATIVE

COMPLAINT, CONSENT AGREEMENTIFINAL ORDER in the maner of EI ERPLUS

RESOUR E' (USA) CORI'.. DOCKET NO.; CAA-08-2011-0021 \Va< tiled with the

Regional Hearing Clerk On August 29. 2011.

Furtht:r. the undersigned certifies that a lrue and correct copy orthe documents were

delivered to. Jim Eppers. Enforcemenl Anorney. U. S, EPA - Region 8. 1595 Wynkoop Strt.-eL

Denver. CO 80202-1129. True and correct copics of tile aforementioned documents were

placed in the United Stutes mail certified/return receipt rcqll~sll:d on August 29. 2011. to:

Tony Lucero. Env. Health & Safety Coord.

Enerplus Resources (USA) Corp.

950 17th Street. Suite 2200

Denver. Colorado 80202·2805

E-muilcd In:

Eli7.abeth Whitsel

U. S. Environmental Protection Agency

Cincinnati Finance Center

26 \Y. Martin Luther King Drive (M -0002)

Cincirulati. Ohio 45268

AugllSl29.2011 Vi itt. {J. (i; tyIJ4 'ina ArtCIl1I'

Pi:lralcgallRegional Hearing Clerk

*Pnnled on RecycJe>d Pat)tJ'